SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
-----------
FORM 10Q
(Mark One)
X QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 1995
OR
_____ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the transition period from ________ to ________
Commission file number 0-17689
CLOVER INCOME PROPERTIES II, L.P.
(Exact name of registrant as specified in its charter)
DELAWARE
(State or other jurisdiction of incorporation or organization)
22-2811188
(IRS employer identification no.)
23 WEST PARK AVENUE, MERCHANTVILLE, NEW JERSEY 08109
(Address of principal executive offices) (Zip code)
Registrant's telephone number, including area code (609) 662-1116
_________________________________________________________________________
Former name, address and former fiscal year, if changed since last report
Indicate by check whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15 (d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to
such filing requirements for the past 90 days Yes X No _______
Page 1 of 23 Pages
CLOVER INCOME PROPERTIES II, L.P.
BALANCE SHEETS
(Unaudited)
ASSETS
June 30, December 31,
1995 1994
----------- -----------
CURRENT ASSETS
Cash $ 220,313 $ 209,407
State tax refund receivable -- 6,772
----------- -----------
Total current assets 220,313 216,179
----------- -----------
INVESTMENT IN THE WILLOWBROOK JOINT
VENTURE, at equity 4,125,802 4,192,427
OTHER DEFERRED COSTS, less amortization
of $179,189 and $166,971, respectively 305,434 317,652
----------- -----------
TOTAL ASSETS $ 4,651,549 $ 4,726,258
=========== ===========
LIABILITIES AND PARTNERS' CAPITAL
CURRENT LIABILITIES
Accounts payable $ 9,749 $ 18,250
Due to General Partner and affiliates -- 2,000
----------- -----------
Total current liabilities 9,749 20,250
----------- -----------
PARTNERS' CAPITAL
General partner (deficit) (24,824) (24,181)
Limited partners 4,666,624 4,730,189
----------- -----------
Total partners' capital 4,641,800 4,706,008
----------- -----------
TOTAL LIABILITIES AND PARTNERS'
CAPITAL $ 4,651,549 $ 4,726,258
=========== ===========
The accompanying notes are an integral part of these statements.
2
CLOVER INCOME PROPERTIES II, L.P.
STATEMENTS OF OPERATIONS
(Unaudited)
For the Six Months Ended
June 30, 1995 June 30, 1994
------------- -------------
REVENUES
Rental income $ - $ 448,515
Interest income 1,980 2,125
Other income - 37,498
------------ -------------
Total revenues 1,980 488,138
------------ -------------
EXPENSES
Depreciation and amortization 12,218 115,268
Operating expenses - 433,672
Professional services 13,698 14,204
Cost of legal proceedings - 95,914
General and administrative 12,614 4,581
------------ -------------
Total expenses (Including affiliate
transactions of $7,660 and $32,721
for the six months ended 06/30/95
and 06/30/94, respectively) 38,530 663,639
------------ -------------
SHARE OF INCOME FROM THE
WILLOWBROOK JOINT VENTURE 94,290 78,356
------------ -------------
NET INCOME (LOSS) $ 57,740 $ (97,145)
============ =============
NET INCOME (LOSS) PER LIMITED
PARTNERSHIP UNIT $ 3.27 $ (5.50)
============ =============
The accompanying notes are an integral part of these statements.
3
CLOVER INCOME PROPERTIES II, L.P.
STATEMENTS OF OPERATIONS
(Unaudited)
For the Three Months Ended
June 30, 1995 June 30, 1994
-------------- --------------
REVENUES
Rental income $ - $ 230,258
Interest income 1,306 937
Other income - 12,414
------------ ------------
Total revenues 1,306 243,609
------------ ------------
EXPENSES
Depreciation and amortization 6,109 57,635
Operating expenses - 232,205
Professional services 7,885 8,341
Cost of legal proceedings - 15,234
General and administrative 7,580 510
------------ ------------
Total expenses (Including
affiliate transactions of $7,660
and $8,969 for the three months
ended 06/30/95 and 06/30/94,
respectively) 21,574 313,925
------------ ------------
SHARE OF INCOME FROM THE
WILLOWBROOK JOINT VENTURE 48,763 47,984
------------ ------------
NET INCOME (LOSS) $ 28,495 $ (22,332)
============ ============
NET INCOME (LOSS) PER LIMITED
PARTNERSHIP UNIT $ 1.61 $ (1.26)
============ ============
The accompanying notes are an integral part of these statements.
4
CLOVER INCOME PROPERTIES II, L.P.
STATEMENT OF PARTNERS' CAPITAL (DEFICIT)
FOR THE SIX MONTHS ENDED JUNE 30, 1995
(Unaudited)
<TABLE>
<CAPTION>
General Limited
Partner Partners Total
----------- ---------- -----------
<S> <C> <C> <C>
Balances (Deficit) at January 1, 1995 $ (24,181) $ 4,730,189 $ 4,706,008
Partners' distributions, $6.90
per limited partnership unit (1,220) (120,728) (121,948)
Net Income 577 57,163 57,740
------------ ------------ ------------
Balance (Deficit) at
June 30, 1995 $ (24,824) $ 4,666,624 $ 4,641,800
========== ========== ==========
</TABLE>
The accompanying notes are an integral part of these statements.
5
CLOVER INCOME PROPERTIES II, L.P.
STATEMENTS OF CASH FLOWS
(Unaudited)
For the Six Months Ended
June 30, 1995 June 30, 1994
------------- -------------
OPERATING ACTIVITIES
Cash received from rentals $ -- $ 453,652
Interest income received 1,980 2,125
Other income received -- 24,287
Distributions received from The
Willowbrook Joint Venture 160,915 160,914
Cash paid for expenses (30,041) (481,929)
-------- --------
Net cash provided by
operating activities 132,854 159,049
-------- --------
INVESTING ACTIVITIES
Investment in the Willowbrook Joint Venture -- (4,115)
-------- --------
FINANCING ACTIVITIES
Partners' distributions (121,948) (208,232)
-------- --------
NET INCREASE (DECREASE) IN CASH 10,906 (53,298)
CASH, beginning of period 209,407 302,108
-------- --------
CASH, end of period $ 220,313 $ 248,810
======== ========
The accompanying notes are an integral part of these statements.
6
CLOVER INCOME PROPERTIES II, L.P.
STATEMENTS OF CASH FLOWS
(Unaudited)
<TABLE>
<CAPTION>
For the Six Months Ended
June 30, 1995 June 30, 1994
------------- -------------
<S> <C> <C>
RECONCILIATION OF NET (LOSS) INCOME
TO CASH PROVIDED BY OPERATING ACTIVITIES
Net Income (Loss) $ 57,740 $ (97,145)
ADJUSTMENTS
Depreciation and amortization 12,218 115,268
Income from investment in The
Willowbrook Joint Venture (94,290) (78,356)
Distributions received from The
Willowbrook Joint Venture 160,915 160,914
(Decrease) increase in accounts payable (8,501) 77,013
(Decrease) in accrued land rent -- (34,085)
Increase in accrued expenses -- 15,974
(Decrease) in prepaid rents -- (784)
(Increase) in prepaid expenses -- (2,691)
Decrease (increase) in other receivables 6,772 (13,211)
Decrease in rents receivable -- 5,051
Increase in tenant security deposits -- 870
(Decrease) increase in due to affiliates (2,000) 10,231
-------- --------
Total adjustments $ 75,114 $ 256,194
-------- --------
Net cash provided by operating activities $ 132,854 $ 159,049
======== ========
</TABLE>
The accompanying notes are an integral part of these statements.
7
CLOVER INCOME PROPERTIES II, L.P.
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 1995
(Unaudited)
Readers of this quarterly report should refer to the Partnership's
audited financial statements as of December 31, 1994, as certain
footnote disclosures which would substantially duplicate those
contained in such audited financial statements have been omitted from
this report.
1. INVESTMENT IN THE WILLOWBROOK JOINT VENTURE:
On December 17, 1987, the Partnership acquired a 50% interest in
The Willowbrook Joint Venture (the Joint Venture) for $6,450,000. The
Joint Venture owns the Willowbrook Apartments, a 299-unit mid-rise
apartment complex located in Baltimore, Maryland.
On April 8, 1992, the Partnership and Clover Income Properties II,
L.P., an affiliated partnership, consummated an agreement which was
effective April 1, 1992, with Clover Income Properties III, L.P.,
(CIP III), an affiliated partnership, pursuant to which CIP III
acquired an interest in The Willowbrook Joint Venture. The
Partnership reduced its interest from 50% to 42.91% and received a
distribution of $1,100,000 from the Joint Venture, of which
$1,000,000 was distributed to the limited partners in April 1992. A
summary of the Joint Venture's financial statements is as follows:
For the Six
Months Ended
June 30, 1995
-------------
Current Assets $ 387,403
Investment property, net of accumulated depreciation 9,624,835
Other noncurrent assets 1,100
-----------
Total assets $ 10,013,338
-----------
Current liabilities $ 398,318
Capital -
Clover Income Properties, L.P. 3,800,014
Clover Income Properties II, L.P. 3,800,014
Clover Income Properties III, L.P. 2,014,992
----------
8
CLOVER INCOME PROPERTIES II, L.P.
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 1995
(Unaudited)
1. INVESTMENT IN THE WILLOWBROOK JOINT VENTURE (continued):
For the Six
Months Ended
June 30, 1995
-------------
Total liabilities and capital $ 10,013,338
=============
Revenues $ 1,011,487
Expenses 791,748
-------------
Net income $ 219,739
=============
The Joint Venture made distributions from operations to the Partnership
in the amount of $160,914 during the first six months of 1995. (Also
see Note 3).
The investment in the Willowbrook Joint Venture, at equity of
$4,125,802 includes the Partnership's gain ($325,788) on the sale of
14.18% of its interest in the Joint Venture before the deduction of
$10,758 in expenses relating to the sale and the write-off of 14.18%
of the unamortized deferred costs $69,696 related to the initial
acquisition of the Joint Venture interest by the Partnership.
Therefore, the amount of the investment, at equity, reflected here
does not correspond to the Partnership's capital account balance in
the Joint Venture.
2. TRANSACTIONS WITH AFFILIATES:
The Knolls, which was sold July 1, 1994, was managed by an affiliate
of the General Partner pursuant to a management agreement which
provided for an annual fee not to exceed 5% of the gross revenues from
the Property. The General Partner and its affiliates were entitled
to reimbursement for administrative services rendered to the
Partnership, direct expenses of Partnership operations and goods and
services used by and for the Partnership.
9
CLOVER INCOME PROPERTIES II, L.P.
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 1995
(Unaudited)
2. TRANSACTIONS WITH AFFILIATES (continued):
Transactions with affiliates are summarized below:
Management Reimbursable
Fees Costs
---------- ------------
Amount payable at
January 1, 1995 $ -- $ 2,000
Incurred during the six months
ended June 30, 1995 -- 7,660
Payments made in 1995 -- (9,660)
--------- --------
Amount payable at
June 30, 1995 $ -- $ --
========= =========
3. SUBSEQUENT DISTRIBUTION:
In July 1995, the partnership received a $26,819 distribution
from the Willowbrook Joint Venture. Additionally in July 1995, the
Partnership made a cash distribution of $55,103 to the limited
partners and $557 to the general partner.
4. GENERAL:
The financial statements reflect all adjustments which are, in
the opinion of the General Partner, necessary for a fair statement of
the results for the interim period presented. Such adjustments are
of a normal recurring nature.
10
THE WILLOWBROOK JOINT VENTURE
BALANCE SHEETS
(Unaudited)
ASSETS
June 30, December 31,
1995 1994
----------- --------------
CURRENT ASSETS
Cash $ 365,420 $ 193,081
Prepaid expenses 14,795 136,682
Rents receivable 7,188 868
---------- -----------
Total Current Assets 387,403 330,631
---------- -----------
INVESTMENT PROPERTY, at cost 13,401,742 13,378,885
Less - accumulated depreciation (3,776,907) (3,520,401)
---------- -----------
Net investment property 9,624,835 9,858,484
---------- -----------
OTHER ASSETS
Utility deposit 1,100 1,100
---------- -----------
TOTAL ASSETS $ 10,013,338 $ 10,190,215
=========== ===========
LIABILITIES AND PARTNERS' CAPITAL
CURRENT LIABILITIES
Accounts payable $ - $ 17,447
Accrued expenses 22,494 26,563
Tenants' security deposits 37,796 40,748
Prepaid rents 11,749 8,936
Due to affiliate 326,279 326,240
---------- -----------
Total current liabilities 398,318 419,934
---------- -----------
PARTNERS' CAPITAL
Clover Income Properties, L.P. 3,800,014 3,866,638
Clover Income Properties II, L.P. 3,800,014 3,866,638
Clover Income Properties III, L.P. 2,014,992 2,037,005
---------- -----------
Total partners' capital 9,615,020 9,770,281
---------- -----------
TOTAL LIABILITIES AND PARTNERS' CAPITAL $ 10,013,338 $ 10,190,215
=========== ===========
The accompanying notes are an integral part of these statements.
11
THE WILLOWBROOK JOINT VENTURE
STATEMENTS OF OPERATIONS
(Unaudited)
For the Six Months Ended
June 30, 1995 June 30, 1994
------------- -------------
REVENUES
Rental income $ 997,340 $ 1,014,175
Other income 13,617 33,532
Interest income 530 1,812
---------- ---------
Total revenues 1,011,487 1,049,519
---------- ---------
EXPENSES
Depreciation 256,506 255,782
Operating expenses (Including
affiliate transactions of $16,863 and
$62,815 for the six months
ended 6/30/95 and 6/30/94
respectively) 530,294 603,745
Professional services 4,948 4,466
General & administrative -- 2,921
---------- ---------
Total expenses 791,748 866,914
---------- ---------
NET INCOME $ 219,739 $ 182,605
========== =========
The accompanying notes are an integral part of these statements.
12
THE WILLOWBROOK JOINT VENTURE
STATEMENTS OF OPERATIONS
(Unaudited)
For the Three Months Ended
June 30, 1995 June 30, 1994
------------- -------------
REVENUES
Rental income $ 502,607 $ 511,312
Other income 8,033 26,833
Interest income 46 1,274
---------- ----------
Total revenues 510,686 539,419
---------- ----------
EXPENSES
Depreciation 128,253 127,919
Operating expenses (Including
affiliate transactions of $774 and
$29,639 for the three months
ended 6/30/95 and 6/30/94
respectively) 268,792 296,699
Professional services - 2,218
General & administrative - 758
---------- ----------
Total expenses 397,045 427,594
---------- ----------
NET INCOME $ 113,641 $ 111,825
========== ==========
The accompanying notes are an integral part of these statements.
13
THE WILLOWBROOK JOINT VENTURE
STATEMENTS OF PARTNERS' CAPITAL
FOR THE SIX MONTHS ENDED JUNE 30, 1995
(Unaudited)
<TABLE>
<CAPTION>
Clover Clover Clover
Income Income Income
Properties, Properties Properties
L.P. II, L.P. III, L.P. Total
------------ ------------ ------------ -----------
<S> <C> <C> <C> <C>
Balance January 1, 1995 $ 3,866,638 $ 3,866,638 $ 2,037,005 $ 9,770,281
Net income 94,290 94,290 31,159 219,739
Partners' distributions (160,914) (160,914) (53,172) (375,000)
----------- ----------- ----------- ----------
Balance June 30, 1995 $ 3,800,014 $ 3,800,014 $ 2,014,992 $ 9,615,020
=========== =========== =========== ===========
</TABLE>
The accompanying notes are an integral part of these statements.
14
THE WILLOWBROOK JOINT VENTURE
STATEMENTS OF CASH FLOWS
(Unaudited)
For the Six Months Ended
June 30, June 30,
1995 1994
------------ ------------
OPERATING ACTIVITIES
Cash received from rentals $ 993,833 $ 1,019,992
Other income received 13,617 33,532
Interest income received 530 1,812
Cash paid for operating expenses (437,784) (504,417)
----------- -----------
Net cash provided by operating activities 570,196 550,919
----------- -----------
INVESTING ACTIVITIES
Cash paid for investment property (22,857) (17,966)
FINANCING ACTIVITIES
Partners' distributions (375,000) (375,000)
Partners' contributions - 9,592
----------- -----------
Net cash (used in) financing activities (375,000) (365,408)
----------- -----------
NET INCREASE IN CASH 172,339 167,545
Cash, beginning of period 193,081 178,813
----------- -----------
Cash, end of period $ 365,420 $ 346,358
=========== ===========
The accompanying notes are an integral part of these statements.
15
THE WILLOWBROOK JOINT VENTURE
STATEMENTS OF CASH FLOWS
(Unaudited)
For the Six Months Ended
June 30, June 30,
1995 1994
---------- ----------
RECONCILIATION OF NET INCOME
TO CASH PROVIDED BY OPERATING ACTIVITIES
NET INCOME $ 219,739 $ 182,605
Adjustments
Depreciation 256,506 255,782
Decrease in prepaid expenses 121,887 145,867
(Increase) in rents receivable (6,320) (735)
(Decrease) in accounts payable (17,447) (12,382)
(Decrease) in accrued expenses (4,069) (8,312)
(Decrease) in security deposits (2,952) (2,711)
Increase in prepaid rents 2,813 6,552
Increase (decrease) in due to affiliates 39 (15,747)
-------- --------
Total adjustments 350,457 368,314
-------- --------
NET CASH PROVIDED BY OPERATING ACTIVITIES $ 570,196 $ 550,919
======== ========
The accompanying notes are an integral part of these statements.
16
THE WILLOWBROOK JOINT VENTURE
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 1995
(Unaudited)
Readers of this quarterly report should refer to the Joint Venture's
audited financial statements as of December 31, 1994, as certain
footnote disclosures which would substantially duplicate those
contained in such audited financial statements have been omitted from
this report.
1. INVESTMENT PROPERTY:
On December 17, 1987, the Joint Venture acquired the Willowbrook
Apartments, a mid-rise apartment complex comprising 299 apartment
units contained in eight five-story buildings. The complex is
located in Baltimore, Maryland. The following is a summary of
investment property as of June 30, 1995.
Land $ 1,421,205
Building 11,003,748
Furniture and fixtures 976,789
-----------
13,401,742
Less: Accumulated depreciation (3,776,907)
-----------
$ 9,624,835
===========
2. TRANSACTIONS WITH AFFILIATES:
Effective February 21, 1995, NPI-CL Management, L.P. ("NPI") which
is unaffiliated with the Partners, replaced an affiliate of the
Partners as Property Manager. Until this time, as compensation
for property management services performed by an affiliate of the
Partners with respect to the Property, the affiliate was entitled to a
management fee in an amount not to exceed 5% of gross revenues.
The general partners of CIP, CIP II and CIP III and their affiliates
were entitled to reimbursement for administrative services rendered
to the Joint Venture and direct expenses of operations and goods and
services used by and for the Joint Venture. For the six months
ended June 30, 1995, $4,113 of such costs were incurred by the Joint
Venture.
17
THE WILLOWBROOK JOINT VENTURE
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 1995
(Unaudited)
2. TRANSACTIONS WITH AFFILIATES (continued):
Transactions with affiliates are summarized below:
Management Reimbursable
Fees Costs
---------- ------------
Amount payable at January 1, 1995 $ 319,132 $ 7,108
Incurred during six months
ended June 30, 1995 $ 12,750 $ 4,113
Payments made during 1995 (12,750) (4,074)
-------- -------
Amount payable at
June 30, 1995 $ 319,132 $ 7,147
======== =======
3. SUBSEQUENT DISTRIBUTIONS:
In July, 1995, the Joint Venture paid total distributions of $62,500 to
its partners.
4. GENERAL:
The financial statements reflect all adjustments which are, in
the opinion of the joint venture partners, necessary for a fair
statement of results for the interim periods presented. Such
adjustments are of a normal recurring nature.
18
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations
Financial Condition, Liquidity and Capital Resources
The Partnership's only remaining interest in real estate is a 42.91%
interest in The Willowbrook Joint Venture, a joint venture which owns the
Willowbrook Apartments. Consequently, the Partnership's primary remaining
source of operating cash flow will be distributions from The Willowbrook Joint
Venture.
On June 30, 1995, the Partnership had cash on hand of $220,313, as
compared to $209,407 on December 31, 1994. These funds, along with future
operating cash flow, will be utilized for working capital needs and for
distributions to the Limited Partners.
The Partnership's net cash flow from operations was $132,854 for
the six months ended June 30, 1995 as compared to net cash flow of $159,049 for
the same period in 1994. The decrease in cash flow is primarily the result
of a decrease in cash received from rentals, partially offset by a decrease in
cash paid for expenses as a result of the sale of the Knolls on July 1, 1994.
The Willowbrook Joint Venture's net cash flow from operations was
$570,196 for the six months ended June 30, 1995 as compared to $550,919 for the
same period in 1994. The increase in cash flow from operations over the
period was due to a decrease in cash paid for operating expenses partially
offset by a decrease in cash received from rentals interest and other income.
The General Partner believes that the Partnership's current and
future cash flows will be sufficient to meet the Partnership's liquidity
requirements, absent unanticipated operating cost increases or adverse market
conditions.
As of June 30, 1995, the Partnership had paid all outstanding
amounts owed to Clover and its affiliates. As of June 30, 1995, The
Willowbrook Joint Venture, however, owed a total of $326,279 to Clover and
its affiliates, including $7,147 for reimbursable costs and $319,132 for
accrued property management fees. The payment of such amounts will be made
from The Willowbrook Joint Venture's cash flow when available and from the
proceeds of any
19
sales or refinancing of the assets of The Willowbrook Joint Venture.
During the second quarter of 1995, one elevator at Willowbrook
Apartments was replaced for a total of $22,857, which amount is reflected in
cash paid for investing activities. One common area hallway was recarpeted
and painted and additional common area hallways will be recarpeted during
the last half of 1995. A roof replacement originally planned for 1995 has
been indefinitely postponed and plans to resurface and restripe the parking
lot are currently being reevaluated.
Effective February 21, 1995, the General Partner and certain of its
affiliates entered into an agreement with NPI-CL Management L.P. ("NPI"), an
entity unaffiliated with the Partnership or its General Partner, pursuant to
which NPI began providing day-to-day asset management services for the
Partnership as well as property management services for the Joint
Venture. NPI is an affiliate of National Property Investors, Inc., a
diversified real estate management company with offices in Jericho, New York and
Atlanta, Georgia.
Results of Operations
Three and Six Months Ended June 30, 1995 vs. June 30, 1994
Until the sale of the Knolls at Newgate Apartments, the Partnership
earned revenues primarily from rental income from the Knolls. Revenues from
the Willowbrook Apartments are not included in Partnership revenues.
There was no other income for the three and six months ended June 30,
1995 as compared to $12,414 and $37,498 for the same periods in 1994. The
decrease in other income for the three and six month periods ended June 30,
1995 was primarily due to refunds of state income tax overpayments received in
the first quarter of 1994 and other income received by the Knolls in 1994.
There were no operating expenses for the three and six months ended
June 30, 1995 due to the sale of the Knolls Apartments in 1994.
20
The Partnership's income before depreciation and amortization for
the three and six months ended June 30, 1995 was $34,604 and $69,958 as
compared to $35,303 and $18,123 for the same periods in 1994. The increase
in income before depreciation and amortization for the six months ended June
30, 1995 is primarily attributable to the sale of the Knolls Apartments as
well as to $80,860 of legal costs incurred in 1994 which were not
recurring.
Rental income for the Willowbrook Apartments, as operated by The
Willowbrook Joint Venture, for the three and six months ended June 30, 1995
was $502,607 and $997,340 as compared to $511,312 and $1,014,175 for the same
periods in 1994. Other income for the three and six months ended June 30,
1995 was $8,033 and $13,617 as compared to $26,833 and $33,532 for the same
periods in 1994. Interest income for the three and six months ended June 30,
1995 was $46 and $530 as compared to $1,274 and $1,812 for the same periods
in 1994. The decrease in rental income is primarily the result of a
decrease in average rental rates and average occupancy over the period.
The average effective rental rates for the Willowbrook Apartments
for the three and six months ended June 30, 1995 were $1,806 and $3,603 as
compared to $1,818 and $3,626 for the same periods in 1994. The average
occupancy for the Willowbrook Apartments for the three and six months ended
June 30, 1995 was 93.10% and 92.83% as compared to 94.10% and 93.60% for the
same periods in 1994.
Operating expenses for the Willowbrook Apartments for the three and
six months ended June 30, 1995 were $268,792 and $530,294 as compared to
$296,699 and $603,745 for the same periods in 1994. The decrease in
operating expenses over the period is primarily the result of decreased
utility expense due to the very mild winter in the first quarter of 1995 as
well as slightly decreased salaries and wages. Additionally, snow removal was
$860 in the first quarter of 1995, compared to $9,380 in the same period of
1994.
The Joint Venture's income before depreciation and amortization for
the three and six months ended June 30, 1995 was $241,894 and $476,245 as
compared to $239,744 and $438,387 for the same periods in 1994. The
increase in income before depreciation
21
and amortization in 1995 is primarily the result of decreased operating
expenses.
PART II-OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K
No report on Form 8-K was required to be filed during the period.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this Report to be signed on its behalf by the
undersigned hereunto duly authorized.
CLOVER INCOME PROPERTIES II, L.P.
(Registrant)
By: C.I.P. II Management Corp.
By: /S/ Donald N. Love
------------------------------
Donald N. Love, President
By: /S/ Stanley E. Borucki
------------------------------
Stanley E. Borucki, Treasurer
Date: August 11, 1995
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
The schedule contains summary financial information extracted from the
Quarterly Report on Form 10-Q for the quarter ended March 31, 1995 for
Clover Income Properties II, L.P. and is qualified in its entirety by
reference to such financial statements.
</LEGEND>
<MULTIPLIER> 1
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-START> JAN-01-1995
<PERIOD-END> JUN-30-1995
<CASH> 220,313
<SECURITIES> 0
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 220,313
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0
0
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</TABLE>
